For many years tax laws discriminated against business owners by structuring laws that hindered their ability to do much creative personal planning through their business. Over the last few years this situation has changed for the better as Congress has passed legislation that benefits business owners without detriment to employees.

However, most business owners we meet are not aware of some of these new laws, or have only heard of them in passing. Our job is to rigorously analyze your goals and help you discover how to leverage your company for your personal financial planning needs, all within the framework of existing tax laws.

Leveraging Group Benefit Plans

Tax laws have become friendlier in recent years to business owners, which has allowed more creative planning options to shelter large contributions in qualified retirement plans. More recent legislation has created unique health plans that are attractive to business owners, as well as unique tax-advantaged funding for the huge financial liability of potential future long-term care needs. Kompass Financial can help you make sense of ever-changing laws.

Succession Planning

Sometimes we want to avoid reality, but the reality of taxes and death are guaranteed. And just as someday you’ll leave this life (willingly or unwillingly) you will also leave your business. The question is if you have properly structured affairs of your business to assure is future success. Unfortunately, most business owners have not. If this is your case, we’ll help you devise a plan. If you have a plan in place, congratulations! We’ll help you make sure it is current and addresses any changes in our laws or your family and business status.

Key Person Insurance Plan

What are you most valuable assets? Your building, computers, or vehicles? In reality, you and your employees are your business’s most valuable asset. You have insurance to protect most of your assets (building, equipment, etc), but have you protected the assets that are most crucial to the survival of your business? In any business there are key employees who are most responsible for its success, and the loss of one of these employees can have an impact on the survival of your business. Insuring them, as you do other assets, is common sense planning.

Deferred Compensation

In some instances you as a business have contributed the maximum amount possible by law to Qualified retirement plans [401(k) Plans, Defined Benefit plans, etc.), or you are not in a position to make any more contribution on behalf of you employees. This is where investigating the use of various types Deferred Compensation plans is appropriate.

If you’re like most people, you are too busy working (or playing if you are retired) at being successful to study the constantly changing impact of tax laws, market conditions and financial product development.

Kompass Financial Advisors develops long-term tax efficient strategies that work toward accumulating, preserving and distributing wealth. Our insights and experience allow us to develop a strategy and implement a plan that will help achieve your goals.